nformation Systems & Project Management: Michelangelo Pizza’s.

Complete 6 pages APA formatted article: Information Systems & Project Management: Michelangelo Pizza’s. The researcher states that it is extremely difficult to manage hundreds of suppliers using traditional paper-based models but with information systems, Michelangelo Pizza can now deal with more suppliers, hence will be able to decrease the supplier power. The more suppliers a firm deals with the more bargain power it has to drive prices down and incur cost savings. Consequently, by the use of the information system the firm can give out orders automatically to suppliers and ensure that they never run out of raw materials as well as have minimum inventory on hand. This will also help in saving the storage costs. Hence, the company will gain the competitive advantage as compared to other pizza manufacturers who still rely on traditional models for their business. The supplier power assesses how easy it is for the buyers to drive prices down. If there are a few buyers then they will control the prices. But if there are numerous buyers each having little or no influence on the prices, the producer may charge whatever he feels like. The information system can help reduce the buyer influence on prices by giving the buyers exactly what they want. This can be done by analyzing the needs of different customers and then fulfilling those needs by introducing a new product or a variant of the existing product. The firm can also please its customers by doing small gestures such as wishing people on their birthdays and anniversaries. It is fairly easy to implement using an information system which has customer preferences, their contact, and personal details. The system can be programmed to automatically send an email to customers on their birthday or anniversary. This will ensure the differentiation of the product and customers will find it hard to switch to other brands. &nbsp.By using information systems Michelangelo Pizza can obtain a significantly stronger position as compared to its competitors. The system will allow the company to establish good relationships with its customers as well as suppliers.

 
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